Bihar Electricity Regulatory Commission Sets Renewable Energy Tariffs for FY 2025-26
The Bihar Electricity Regulatory Commission has established generic levellised tariffs for renewable energy projects for FY 2025-26, effective retroactively from April 1, 2025. This tariff framework, part of a three-year control period, includes specific useful life durations for different technologies and requires transparency in claiming Accelerated Depreciation benefits. Various renewable technologies have been assigned specific tariffs, with biomass projects receiving up to ₹10.08 per kWh. The Commission aims to promote local renewable energy development and compliance with Renewable Purchase Obligations.
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The Bihar Electricity Regulatory Commission issued a Suo-Motu order on March 2, 2026, setting generic levellised tariffs for renewable energy projects for FY 2025-26, to be applied retroactively from April 1, 2025. The tariffs will be valid for the useful life of the projects, which is 25 years for most technologies, with exceptions for small hydro (40 years) and municipal solid waste (20 years).
Consultations were held with stakeholders before finalizing the framework. Key changes include the requirement for renewable energy generators to confirm non-claiming of Accelerated Depreciation benefits and a revised interest rate for Working Capital set at 325 basis points above the average SBI MCLR.
Tariffs have been established for various technologies, with biomass projects receiving tariffs from ₹6.98 to ₹10.08 per kWh. The Commission aims to enhance regulatory clarity and support renewable energy development in Bihar.
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